Teradata vs Oracle Which Is More Favorable?

Teradata and Oracle are two leading companies in the data management and analytics industry, with both boasting strong presence in the stock market. Teradata, known for its advanced analytics solutions, has seen fluctuating stock performance due to changes in market demand and competition. On the other hand, Oracle, a global technology giant offering a wide range of software and cloud services, has shown more stability in its stock prices. Investors often compare the two companies' stocks to evaluate potential investment opportunities in the dynamic tech sector.

Teradata or Oracle?

When comparing Teradata and Oracle, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Teradata and Oracle.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Teradata has a dividend yield of -%, while Oracle has a dividend yield of 0.92%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Teradata reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Oracle reports a 5-year dividend growth of 14.87% year and a payout ratio of 38.04%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Teradata P/E ratio at 37.85 and Oracle's P/E ratio at 41.61. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Teradata P/B ratio is 24.83 while Oracle's P/B ratio is 33.98.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Teradata has seen a 5-year revenue growth of 0.01%, while Oracle's is 0.92%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Teradata's ROE at 84.54% and Oracle's ROE at 118.08%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $32.08 for Teradata and $171.64 for Oracle. Over the past year, Teradata's prices ranged from $24.02 to $49.44, with a yearly change of 105.83%. Oracle's prices fluctuated between $99.36 and $198.31, with a yearly change of 99.59%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.